Description

The case begins with Baosteel's renewed effort at building a steel mill in Brazil with Vale do Rio Doce. But again, the company runs into problems with obtaining regulatory approvals. This is compounded by the global financial crisis that seriously impacts the global steel industry. How will Baosteel react to this adverse situation?

Learning objective:

This case allows students to examine the phenomenon of Chinese outward investment, with a focus on Latin America. The case is also interesting for faculty teaching about foreign direct investment, emerging markets, and the dynamics of upstream industries.